The development of digital ecosystems and data integration through digitalization has successfully advanced various industrial sectors, most notably the economic, financial, and investment segments.

As a highly scrutinized commodity, cryptocurrency has not only introduced novel concepts to the financial and investment climates, but it has also revolutionized contemporary perspectives on the potential of the digital economy. Cryptocurrency, or crypto, is a digital currency that facilitates transactions without the intermediary involvement of third parties, such as banks. Furthermore, given its nature as a blockchain-based, decentralized digital currency distributed across global servers, flexibility emerges as the paramount value of cryptocurrency.

Currently, several regions worldwide—such as Canada, Berlin (Germany), Paris (France), and Miami (United States)—have begun adopting cryptocurrency not merely as an investment instrument, but also as a legitimate medium of exchange. Despite presenting numerous opportunities to enhance the economic ecosystem and investment climate, certain aspects of cryptocurrency warrant further review. In light of this, a lecturer from the Management Study Program, Nur Endah Retno Wuryandari, S.Sos., M.M., has conducted an in-depth examination of the prospects of Bitcoin, specifically within the context of the Indonesian banking sector.

Through her research, she highlights that Indonesia currently ranks as the third-largest cryptocurrency market globally. By the end of 2023, Indonesia recorded approximately 28.52 million crypto users, with total transaction volumes reaching Rp 122 trillion, predominantly in Bitcoin. The prominence of cryptocurrency within Indonesia's investment climate has compelled the Financial Services Authority (Otoritas Jasa Keuangan/OJK) and the Indonesian banking sector to adapt to these shifts. Consequently, they are reassessing various regulatory protocols with the primary objective of safeguarding investor security.

Nevertheless, the research identifies critical vulnerabilities within the Bitcoin and broader cryptocurrency ecosystems, particularly concerning transaction security. Given their blockchain-based architectural framework, these systems inherently lack affiliation with the standardized security protocols conventionally employed by banking institutions. Consequently, this discrepancy potentially exposes the systems to cyber threats, allowing malicious actors to exploit existing vulnerabilities.

Furthermore, drawing upon Financial Innovation Theory, while the conveniences introduced by Bitcoin can conceptually facilitate investment and trade, its presence is perceived as a potential threat to the sovereignty and stability of local currencies. It also carries the potential to disrupt financial circulation within the banking sector unless counterbalanced by the implementation of robust strategies and resource reinforcements aimed at mitigating the surge in Bitcoin transactions.

Due to its extreme volatility and fluctuations, Bitcoin presents distinct challenges concerning risk management, prudential principles, and regulatory compliance. Given its largely unregulated and decentralized nature outside formal institutional oversight, the ecosystem is highly susceptible to money laundering practices, exacerbated by the 'Fear Of Missing Out' (FOMO) phenomenon surrounding Bitcoin and other crypto assets. Furthermore, this high volatility significantly elevates the risk of financial loss for both retail and institutional investors.

Ultimately, this study offers profound insights into the cryptocurrency sphere. It concludes that despite certain drawbacks, cryptocurrency represents an innovation that champions an inclusive financial ecosystem, thereby positioning itself as a viable alternative economic solution for the future.

By enacting progressive regulatory reinforcements, establishing comprehensive supervisory frameworks, and fostering continuous public education, Indonesia's financial ecosystem stands to optimally leverage the potential of cryptocurrency without compromising the resilience of the national banking sector.

Source of Reference: 

Purwanto, S., Wuryandari, N, R. (2026). The Impact Of Bitcoin On Indonesian Banking: Opportunities And Challenges. EKOMBIS REVIEW: Jurnal Ilmiah Ekonomi Dan Bisnis